Pakistan Stock Exchange plunges over 1100 points

F.P. Report

KARACHI: Pakistan Stock Exchange (PSX) on Tuesday witnessed bearish trend as KSE-100 index lost 1146 points.

The benchmark KSE-100 index closed at 32,353 points with a negative change of 1146 points.

The Pakistan Stock Exchange (PSX) on Friday saw a return of the bulls as the benchmark KSE-100 Index gained over 1400 points.

Since trading resumed at 11:55 am, the market has continued to increase its gains. The benchmark index also touched the level of 33,000 points during the trading.

The KSE-100 index gained 1498 points on the last working day and closed at 32,832.

The confidence was prevailed among the investors as the State Bank of Pakistan (SBP) on Thursday further slashed its key interest rate by two per cent (200 basis points) to nine per cent in wake of the worsening outlook for global and domestic economic activity due to the coronavirus pandemic.

Over the past one month, the central bank’s key interest rate has seen a cumulative reduction of 4.25 per cent.

Meanwhile, US crude prices bounced back into positive territory Tuesday, a day after crashing below $0.00 for the first time owing to crippled demand and a storage glut, while the commodity rout sent Asian equities sharply lower.

Equity markets were deep in the red, having enjoyed a healthy couple of weeks thanks to massive stimulus measures and signs of an easing in the rate of new infections globally.

Tokyo ended the morning 1.6 percent lower, while Hong Kong, Sydney, Seoul, Taipei and Manila were also more than one percent lower.

Shanghai and Singapore both shed 0.8 percent, and there were also losses in Jakarta and Wellington.